HOUSE BILL REPORT
HB 2289
As Reported by House Committee On:
Appropriations
Title: An act relating to hospital efficiencies. .
Brief Description: Relating to hospital efficiencies.
Sponsors: Representatives Sommers and Cody.
Brief History:
Appropriations: 3/31/05, 4/2/05 [DPS].
Brief Summary of Substitute Bill |
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HOUSE COMMITTEE ON APPROPRIATIONS
Majority Report: The substitute bill be substituted therefor and the substitute bill do pass. Signed by 17 members: Representatives Sommers, Chair; Fromhold, Vice Chair; Cody, Conway, Darneille, Dunshee, Grant, Haigh, Hunter, Kagi, Kenney, Kessler, Linville, McDermott, McIntire, Miloscia and Schual-Berke.
Minority Report: Do not pass. Signed by 11 members: Representatives Alexander, Ranking Minority Member; Anderson, Assistant Ranking Minority Member; McDonald, Assistant Ranking Minority Member; Bailey, Buri, Clements, Hinkle, Pearson, Priest, Talcott and Walsh.
Staff: Amy Hanson (786-7118).
Background:
The Federal Balanced Budget Act of 1997 established the Critical Access Hospital Program
(Program). Through the Program, the federal Centers for Medicare and Medicaid Services
use a cost-based approach to reimburse certain rural hospitals for services provided to
Medicare clients. This Program, after certifying that a hospital meets the specified eligibility
criteria, provides the hospital with a higher rate of reimbursement than is otherwise paid
under Medicare.
A similar reimbursement system for the state's medical assistance programs was established
in 2001 to reimburse Critical Access Hospitals based on allowable costs for services provided
to persons enrolled in the Department of Social and Health Services Medical Assistance
programs. Washington currently has 37 hospitals certified as critical access hospitals.
Summary of Substitute Bill:
A moratorium is placed on additional hospitals receiving reimbursement based on allowable
costs as a critical access hospital for services provided to medical assistance clients.
Hospitals that have applied for certification prior to January 1, 2005, will, if certified, be
eligible for the allowable costs-based medical assistance reimbursement.
Substitute Bill Compared to Original Bill:
An obsolete reference is removed and references to critical access payments are clarified.
Appropriation: None.
Fiscal Note: Requested on March 31, 2005.
Effective Date of Substitute Bill: The bill takes effect 90 days after adjournment of session in which bill is passed.
Testimony For: None.
Testimony Against: None.
Persons Testifying: None.